EV bill can bring P490 B annual savings

EVAP welcomes Pinoy made Electric Vehicle

The proposed Electric Vehicles and Charging Station Act can create savings of around P490 billion and reduce oil consumption in the country by  146.56 million barrels per year with the right implementation, according to Senator Sherwin Gatchalian.

The bill aims to require private and public establishments to have designated parking slots  and charging stations, which will be installed by charging station providers. Gas stations will also be mandated to have space for charging stations. At least 5 percent share of electric vehicles will be included in large industrial and commercial companies, public transport operators, and government agencies within their respective fleets.

Gatchalian is sponsoring the measure  in hopes of further promoting and adopting electric vehicles in the country, which could result in a decrease in the country’s greenhouse emissions and encourage energy independence.

The measure will also address the challenges in the development of electric vehicle in the country through mandating the creation of a roadmap for Electric Vehicles to be undertaken mainly by  the Department of Energy (DOE) together with the Department of Transportation (DOTr), Department of Trade and Industry (DTI), Bureau of Investments (BOI), and Department of Science and Technology (DOST).

According to a report, the transport sector has the biggest energy consumption at 35 percent, as of now.

Based on the Land Transportation  Office’s (LTO) data, 99.48 percent of vehicles in the country were run by diesel and gasoline in 2014. In the same period, EVs only stand with a total of 145 units.

Gatchalian explained that EVs are more expensive compared to other vehicles due to its low market share in the country as well as its lack of charging station facilities.

To cushion the high costs of EVs, the bill provides fiscal and non-fiscal incentives for the  importation, utilization, and manufacture of EVs. It will also exempt EV users from value-added tax, customs duties, and discounts on the Motor Vehicle User’s Charge as well as expedited registration procedures.

“The bill we are sponsoring today will increase accessibility and economic viability of a key emerging technology which will help the Philippines meet its emissions reduction goals: the electric vehicle, or EV. Essentially, this bill is good for the environment and good for our wallets too”, said Gatchalian who chairs the Senate Energy Committee.